Department for Digital, Culture, Media and Sport

Gambling Regulation

Lord Parkinson of Whitley Bay: I am repeating the following Written Ministerial Statement made on 22 September 2021 in the other place by my Honourable Friend, the Minister for Tech and the Digital Economy, Chris Philp MP:On 7 June the government announced that Malcolm Sheehan QC had been appointed to lead an independent review into the regulation of the Football Index gambling product and its operator, BetIndex Ltd. The Terms of Reference set out that the review was to provide an expert account of the actions taken by the Gambling Commission and other regulatory bodies throughout the period in which BetIndex held a gambling licence, provide recommendations as needed, and to inform the government’s ongoing review of the 2005 Gambling Act. The independent review has now concluded, and the report has today been published on gov.uk.I am grateful to Mr Sheehan and his team for their extensive investigation, thorough report and clear recommendations. I am also grateful to the Gambling Commission, Financial Conduct Authority and others for their cooperation with the review and their provision of evidence to support Mr Sheehan’s deliberations.This independent expert report has been completed in such a way as to avoid prejudicing a number of ongoing processes and investigations into BetIndex Ltd. Firstly, administration proceedings are continuing, looking at the assets and liabilities of the firm and what is owed to customers. It is likely that this process will result in some amounts being reimbursed to creditors. Secondly, the Gambling Commission is completing its separate regulatory investigation into BetIndex on which it will report in due course. Thirdly, the Gambling Commission has referred the company to the Insolvency Service to ask that they consider whether the actions of the directors prior to administration breached insolvency or fraud laws. Any comment on this matter needs to carefully avoid prejudicing any future legal proceedings.Football Index was a novel and boundary-pushing product, and its business was materially impacted by Covid 19 and the suspension of football. While the independent review focused on the actions of regulatory bodies, it did find that BetIndex did not properly notify the Gambling Commission of the nature of the product in its licence application, nor did it inform the regulator of changes to the product after launch as it was required to. This made scrutiny harder.Nonetheless, the report identifies areas where the Gambling Commission could have been more effective in responding to the challenges raised by the novel product from its licensing to eventual collapse, including in early scrutiny, speed of decision-making and action, and escalation of issues when barriers arose. By 2019 it was aware of concerns about the product and launched an investigation, but by that time Football Index had grown to such an extent that large amounts of customer money were already involved. The report helps us understand why certain decisions were made at the time and what we can learn from that.While BetIndex Ltd was never regulated by the Financial Conduct Authority, the report also looked at its role in working with the Commission, identifying some areas of improvement including in speed of response to requests from the Commission and consistency of messaging on regulatory responsibilities.It is now essential that we learn the lessons from this case and ensure a similar situation does not happen again. I am pleased that the Gambling Commission is carrying out an action plan to address the issues identified. In the weeks since the draft report was shared the Commission has:Updated the frameworks for risk based regulation so that product novelty is properly considered alongside other factors in determining the level of scrutiny an operator is placed under.Committed to consulting on tighter rules for the terminology used to describe gambling products, putting beyond doubt that gambling must be clearly described as gambling and not an investment.Commenced a review of all remote licensees to check for issues relating to boundary pushing products.Agreed to provide formal advice to the government on the issue of protecting customer funds as part of the Gambling Act Review. This is in addition to their current business plan’s commitment to review the existing three-tiered approach.The Commission and FCA have also worked together to strengthen their Memorandum of Understanding in response to Mr Sheehan’s recommendations, including with new escalation routes and commitments on timeliness of responses to ensure regulatory impasses can not remain unsolved. The FCA has additionally:Nominated an Executive Director to oversee the relationship with the CommissionContinued to pursue the programme of change as set out in its July Business Plan.The report has also raised some important questions for the government’s ongoing Review of the Gambling Act 2005 which is already taking a comprehensive and evidence-led look at gambling in this country, including a close examination of the Gambling Commission’s powers and resources. The Gambling Commission is not required to monitor the financial viability of companies on an ongoing basis. However, our Act Review will consider whether the Commission should require gambling companies to do more to demonstrate their ability to cover liabilities arising from long term bets, especially if they make up a large proportion of their business. The Gambling White Paper which we will publish in due course will answer this question and set out the government’s vision for the sector.A copy of Mr Sheehan’s final report will be placed in the Libraries of both Houses.

National Artificial Intelligence Strategy

Lord Parkinson of Whitley Bay: I am repeating the following Written Ministerial Statement made on 22 September 2021 in the other place by my Right Honourable Friend, the Secretary of State for Digital, Culture, Media and Sport, Nadine Dorries MP:I am pleased to lay before the House the UK’s first National Artificial Intelligence Strategy, which represents a step change in the Government’s approach to this transformative technology.The UK is already a world leader in AI. From trailblazing pioneers like Alan Turing and Ada Lovelace to UK-based AI companies such as DeepMind and Benevolent AI - the UK leads the world in the fundamental research, industrial application and commercialisation of the technology.The challenge now for the UK is to unlock the power of AI and data-driven technologies, to build on our early leadership and legacy and to look forward to the opportunities of this coming decade.This strategy outlines our vision for how the UK can maintain and build on its position as other countries also race to deliver their own economic and technological transformations.This will be achieved via three pillars:investing in the needs of the ecosystem to see more people working with AI, more access to data and compute resources to train and deliver AI systems, and access to finance and customers to grow sectors;supporting the diffusion of AI across the whole economy to ensure all regions, nations, businesses and sectors can benefit from AI; anddeveloping a pro-innovation regulatory and governance framework that protects the public.AI will be central to how we drive growth and enrich lives, and the vision set out in the strategy will help us achieve both of those vital goals.The Office for Artificial Intelligence - a joint unit of DCMS and BEIS - will publish an execution and monitoring plan to track the success of the strategy and the wider impact of AI on our economy, society and Government.A version of the National AI Strategy will be placed in the Libraries of both Houses.

Department for Education

Qualifications and assessments in 2021/22

Baroness Barran: The Department for Education committed to our intention that exams and assessments would go ahead in 2022 in April. On 12 July, recognising that students taking exams in 2022 have had considerable disruption to their education, Ofqual and the department published joint consultations outlining detailed proposals for: changes to the assessment of GCSEs, AS and A levels in 2022 and arrangements for vocational and technical and other general qualifications in academic year 2021/22. The department and Ofqual confirmed the permitted scope of adaptations for vocational and technical qualifications (VTQs) included in performance tables, Functional Skills Qualifications and T Levels in an announcement on 6 August following analysis of responses to the VTQ consultation. Depending on the purpose of the qualification, a range of adaptations for VTQs and other general qualifications have been or will be used including, but not limited to: a reduction in number of internal assessments, whilst ensuring all content is taught longer and more assessment windows social distancing adaptations (for example, professional discussion in place of certain practical activities) greater flexibility in invigilation rules (for example, to allow subject teachers to invigilate their own subject) On 30 September, the department and Ofqual published the decision document outlining the decisions taken by the department and Ofqual following analysis of responses to the consultation on changes to the assessment of GCSEs, AS and A levels in 2022. The department and Ofqual engaged with a wide range of sector representatives during the consultation period. The proposals that were set out in the consultation received a high degree of support and we have therefore confirmed a package of measures that includes four elements: a choice of topics in GCSE English literature, history, ancient history, and choice of topic or content in GCSE geographythe provision of advance information on exams in those subjects at GCSE, AS and A level where there is no choice of contentchanges to the requirements for the delivery of practical activities in science subjects, and assessment in art and designthe provision of support materials in the exam in GCSE maths, physics and combined science We have confirmed that DfE’s policy intention is for advance information to be published by exam boards in early February 2022 to support student revision. The government retains the flexibility to deploy advance information at an earlier point if there is significant further disruption to education. The changes for both general and vocational and technical qualifications will be for one year only. Ofqual also set out its approach to grading for general qualifications, confirming that 2022 will be a transition year to reflect that we are in a pandemic recovery period and students taking exams in 2022 have experienced disruption to their education. Ofqual set out its plans for grading to be based around a profile that reflects a mid-point between 2021 and 2019 grades in 2022. In 2023, Ofqual plans to return to results that are in line with those in pre-pandemic years. While it is our firm intention that exams will go ahead next year, supported by the permitted adaptations, we understand that contingency arrangements are also needed in the unlikely event that exams cannot go ahead fairly or safely. The department and Ofqual plan for Teacher Assessed Grades to be used in the event that exams cannot take place, and we have jointly launched a consultation on improvements to the 2021 process for GCSE, AS and A levels and confirmed the contingency arrangements that will apply to vocational and technical qualifications. The consultation closes on 13 October and we will announce final decisions as soon as possible. Finally, we have confirmed that in 2022 results days will return to their normal timing, on 18 August for AS/A level and 25 August for GCSEs. Vocational and technical qualifications used to progress in a similar way to GCSEs and A levels will be awarded on or before the same days, and other VTQ results will continue to be awarded throughout the year.

Department for Business, Energy and Industrial Strategy

Business Update – Employment Rights

Lord Callanan: My Honourable friend the Minister for London and Parliamentary Under Secretary of State (Minister for Small Business, Consumers and Labour Markets) (Paul Scully) made the following statement on the 23rd September:The Government has today published a consultation on flexible working and the response to our consultation on a new right to time away from work for unpaid carers. These deliver on commitments in our Manifesto and are an important part of our drive to build back better after the pandemic, deliver for working families by helping people to access and stay in work, and improve business productivity.Flexible Working ConsultationThis consultation considers measures to increase the availability and uptake of the full range of flexible working options – whether that is a part-time or job-sharing working arrangement, flexing working hours or working remotely – freeing employers and employees alike from the default 9 to 5 model.The consultation proposes that every employee in Great Britain is given the right to request flexible working, regardless of time served, under our plans to modernise the way we work and improve business productivity.Under the proposals – which would see around 2.2 million more people given the right to request flexible working – employees would also be able to make more than one request for flexible working each year, and the current three-month period an employer has to consider each request would be shortened.If an employer is unable to accommodate a request, our consultation proposes that they would need to consider what alternatives they could offer. For example, if they couldn’t change their employee’s hours on all working days, they could consider making the change for certain days instead.There is no ‘one-size-fits-all’ approach to working arrangements. While certain ways of working may suit some employers and employees, they won’t suit everyone. Therefore it is important that Government does not prescribe specific arrangements in legislation. Instead, these proposals would provide a strengthened legislative framework that encourages conversations around flexible working to be more two-sided. They are designed to balance the needs of employee and employer, and encourage all parties to focus on what may be possible, rather than what is not.Empowering workers to have more say over where and when they work makes for more productive businesses, and happier employees. Flexible working allows employees to balance their work and home life: including helping people manage childcare commitments or other caring responsibilities. It can also be key to ensuring that people who are under-represented in the workforce, such as new parents or disabled people, have access to more employment opportunities.Alongside clear benefits to workers, there is a compelling business case for flexible working. Benefits include:Attracting top talent – Research conducted by Timewise, a flexible working consultancy, has shown that 87% of people want to work flexibly, rising to 92% for young people.A highly motivated, productive workforce – Research published by HSBC shows that 9 in 10 employees consider flexible working to be a key motivator to their productivity at work – ranking it as more important than financial incentives. Employers have reported seeing improvements in staff motivation and employee relations.A better business environment - the CBI Employment Trends survey found that 99% of all businesses surveyed believed that a flexible workforce is vital or important to competitiveness and the prospects for business investment and job creation. For both these individual and business reasons, the Conservative Party’s 2019 manifesto committed to a consultation on measures to help make flexible working the default unless employers have good reasons not to. Today’s publication delivers on that commitment. It also contains our response to measures in the July 2019 “Good Work Plan: proposals to support families” consultation on publishing flexible working and family-related leave and pay policies; and stating whether jobs may be open to flexible working in the advert. While the consultation focuses on contractual flexible working arrangements, the Government recognises that people don’t always need something so formal to help them balance their home and work life. The consultation therefore also sets out our future plans for a call for evidence on how to support more ‘ad hoc’ and informal forms of flexibility, for example to attend a one-off appointment.The territorial extent of the proposals included in this consultation extends to England, Wales, and Scotland (employment law is devolved to Northern Ireland). The consultation runs for 10 weeks until 1 December 2021. I will place copies of the Flexible Working consultation in the Libraries of the House. Government Response to the Carer’s Leave Consultation The Government has also today published its response to the consultation on Carer’s Leave. Around five million people across the UK are providing unpaid care by looking after or helping a family member, relative or friend. Nearly half do this while also working full-time or part-time. Juggling caring responsibilities and work can be challenging and can limit the participation of unpaid carers in the labour market. Women, who are often still the primary carers within families, tend to be disproportionately impacted. The 2019 Manifesto committed to introduce an entitlement to one week of leave for unpaid carers. This was followed, last year, by a consultation on Carer’s Leave, which recognised that unpaid carers face particular challenges in balancing work and caring responsibilities that may warrant a specific new employment right to time off from work. The response, published today, sets out key aspects of the leave entitlement, including:Employees with caring responsibilities for a dependant with long-term care needs will be entitled to one working week of unpaid Carer’s Leave (per employee, per year).This new right will be available from the first day of employment.Eligibility for the new right, both in terms of who the employee is caring for and how the leave can be used, will be broadly defined.The leave can be taken flexibly (i.e. from several half day blocks to a single block of whole week). The entitlement has been designed to balance the needs of employers and employees, ensuring that employers are able to plan and manage the absence created by Carer’s Leave. These include a minimum notice period and enabling employers to postpone (but not deny) the request for Carer’s Leave where the employer considers the operation of their business would be unduly disrupted. The territorial extent of the proposals included in this Government response to the consultation on Carer’s Leave extends to England, Wales, and Scotland (employment law is devolved to Northern Ireland). I will place copies of the Carer’s Leave consultation response in the Libraries of the House.

The Post Office Horizon IT Inquiry

Lord Callanan: My Honourable friend the Minister for London and Parliamentary Under Secretary of State (Minister for Small Business, Consumers and Labour Markets) (Paul Scully) made the following statement on the 22nd September:I welcome that Sir Wyn Williams, Chair of the Post Office Horizon IT Inquiry, has today published a progress update which outlines the work already undertaken by the Inquiry and the planned next steps. The Government looks forward to receiving Sir Wyn’s final report by the end of 2022.

Draft Revised Energy National Policy Statements

Lord Callanan: My Right Honourable friend the Secretary of State for Business, Energy and Industrial Strategy (Kwasi Kwarteng) made the following statement on the 20th September:Today I am laying before Parliament the draft revised energy National Policy Statements. The energy National Policy Statements were first designated in 2011. They set out the Government’s policy for the delivery of energy infrastructure and provide the legal framework for planning decisions. in key energy policy areas: fossil fuels (EN-2); renewables (EN-3); gas supply and gas and oil pipelines (EN-4); electricity networks (EN-5); and nuclear (EN-6). They each sit below an overarching energy NPS (EN-1) which sets out the need for new energy infrastructure. The Government announced a review of the current suite of energy National Policy Statements (NPS) in the Energy White Paper: Powering our net zero future in December 2020. The Energy White Paper builds on the Prime Minister’s Ten Point Plan to set a long-term strategic vision for our energy system, consistent with net zero emissions by 2050. It establishes our goal of a decisive shift from fossil fuels to clean energy, in power, buildings and industry, while creating jobs and growing the economy and keeping energy bills affordable. It addresses how and why our energy system needs to evolve to deliver this goal whilst retaining a secure and operable energy system. We have reviewed all the National Policy Statements for energy infrastructure and determined that the existing EN-1 to EN-5 documents should be amended to reflect the policies set out in the White Paper and support the investment required to build the infrastructure needed for transition to net zero. A review of EN-6 has concluded that it will not be amended and therefore it is not part of this consultation. A new technology specific NPS for nuclear electricity generation deployable after 2025 is proposed and will be developed to reflect the changing policy and technology landscape for nuclear and support the transition to net zero. On 6th September 2021 I launched a public consultation on the draft revised energy National Policy Statements, supporting habitats and sustainability reports and associated appendices. These are subject to a 12-week public consultation and are all available on gov.uk. I will place copies of the public consultation “Planning for new energy infrastructure: review of energy National Policy Statements”, the Appraisal of Sustainability and its appendices: Appendices Supporting Evidence Volumes I and II, and the Habitats Regulation Assessment in the Libraries of the House. The public consultation will close on 29th November 2021. The relevant period for parliamentary scrutiny will be from 20th September 2021 to 28 February 2022.

Department of Health and Social Care

Fortification of Flour with Folic Acid

Lord Kamall: My Honourable friend the Parliamentary Under Secretary of State (Minister for Vaccines and Public Health) (Maggie Throup) made the following statement on the 21st September:I am today announcing the Government’s decision to introduce mandatory fortification of flour with folic acid to help prevent neural tube defects in foetuses. The Government initiated a consultation in 2019 on the issue of folic acid fortification. Our response is published today and confirms that we will proceed with fortification of non-wholemeal wheat flour, which is the most used type. This was the ‘baseline’ option in the consultation and accompanying impact assessment.Neural tube defects are birth defects of the brain, spine, or spinal cord. They happen in the first few weeks of pregnancy, often before a woman even knows that she is pregnant. The two most common neural tube defects are spina bifida and anencephaly. These can be devastating conditions and the Government are fully aware of the effect these have on the individuals themselves and their families.There is strong evidence that many neural tube defects can be prevented by increasing women’s intake of folic acid, which is why existing pregnancy advice to women who are trying to conceive or who are likely to become pregnant is to take a daily supplement of 400 micrograms of folic acid until the 12th week of pregnancy.However, we know that in the UK around half of pregnancies are unplanned. In those which are planned, it has been estimated that only half of all mothers took folic acid supplements or modified their diet to increase folate intake. This has led to calls for mandatory fortification of flour with folic acid, so women can get it from dietary sources other than foods that naturally contain it, and is why we consulted on the proposal.I am grateful to the many people who took time to respond to the consultation which helped us accurately consider this policy.I have agreed with the Governments of Scotland, Wales, and Northern Ireland that we intend to implement this change on a UK-wide basis. We will now commence detailed discussions with stakeholders on the precise details of the fortification and labelling requirements, and agree the appropriate lead-in times. In order to minimise impacts on industry, this will be co-ordinated as part of a wider review of The Bread and Flour Regulations 1998 and The Bread and Flour (Northern Ireland) Regulations 1998 being undertaken by Defra – alongside the Food Standards Agency in Northern Ireland and Wales, Food Standards Scotland in Scotland, DHSC, and the Scottish and Welsh Governments. Following those discussions, and in coordination with the progress of the review of the wider Bread and Flour Regulations, we will consult on the draft legislation to implement this policy, and include a full impact assessment on the mandatory folic acid fortification.